Solution-Discuss the fifo method of inventory valuation

Discuss the fifo method of inventory valuation

Assignment Help Accounting Basics

Reference no: EM131759533

Concord Company started operations on January 1, 2012, and has used the FIFO method of inventory valuation since its inception. In 2018, it decides to switch to the average-cost method. You are provided with the following information.

Net Income			Retained Earnings (Ending Balance)
Under FIFO	Under Average-Cost	Under FIFO
2012	$92,000	$82,800	$90,600
2013	68,300	62,900	158,500
2014	81,300	70,800	255,000
2015	116,500	126,800	308,600
2016	301,400	290,400	644,800
2017	311,300	316,800	731,300

(a) What is the beginning retained earnings balance at January 1, 2014, if Concord prepares comparative financial statements starting in 2014?

(b) What is the beginning retained earnings balance at January 1, 2017, if Concord prepares comparative financial statements starting in 2017?

(c) What is the beginning retained earnings balance at January 1, 2018, if Concord prepares single-period financial statements for 2018?

(d) What is the net income reported by Concord in the 2017 income statement if it prepares comparative financial statements starting with 2015?

Reference no: EM131759533

Questions Cloud

Portfolio - Creative Leadership and Knowledge : E - Portfolio: "Creative Leadership and Knowledge" - You are to conduct a search of the Internet on the topic: Creative Leadership and Knowledge

Discuss the aspects of accounting ethics and professional : where is wrong form the aspects of accounting ethics and professional

Prepare a bond amortization schedule : On January 1, 2011, Ellison Company purchased 12% bonds, having a maturity value of $800,000, for $860,652. The bonds provide the bondholders with a 10% yield.

Why study the development of tourist attractions : Write a 150 words to discuss this topic "Why study the development of tourist attractions" and two replies with 75 words each to my class mates works.

Discuss the fifo method of inventory valuation : Concord Company started operations on January 1, 2012, and has used the FIFO method of inventory valuation since its inception

Prepare the journal entry to record the exchange : On January 1, 2012, Sandy's Tax Service acquired a new color copier in exchange for an old color copier. The old copier had a cost of $14, 500.

What overall understanding do you draw from your experience : What overall understanding do you draw from your experience in this course, particularly related to classroom management?

Rewrite the matrix with entries in their polar format : For the figure on assume Sbase = 100 MPA. Rewrite the ?bus matrix with entries in their polar format. Form the ?bus matrix with entries in cartesian format

Demonstrate that the personnel involved were aware of laws : Identify the difference in scope and responsibility of any federal, state, or local laws and regulations that would impact the outcome of the case.

User Account

All Pages

Discuss the fifo method of inventory valuation

Reference no: EM131759533

Reference no: EM131759533

Questions Cloud

Reviews

Write a Review

Accounting Basics Questions & Answers

How much control does fed have over this longer real rate

Coures:- fundamental accounting principles

Accounting problems

Theory of interest - term structure of interest rates

Write a report on internal controls

Prepare the bank reconciliation for company

Cost-benefit analysis

Theory of interest

Liquidity and profitability

What is the expected risk premium on the portfolio

Simple interest and compound interest

Capm and venture capital

Assured A++ Grade

Academics

Major Subjects

Majors

Get In Touch

TERMS & POLICIES

HELP & SUPPORT